• 2018 November 2 16:52

    BIMCO to discuss the 2020 Transitional Fuel Clause on November 13

    BIMCO reports that its 2020 Bunker Clause working group is pushing hard to finish work on two key clauses addressing the global switch to 0.5% sulphur content fuel on 1 January 2020.

    The “2020 Global Marine Fuel Sulphur Content Clause”, which is a general compliance provision, will be put forward for adoption by BIMCO’s Documentary Committee on 13 November. The drafting team has also prepared a first draft of a clause dealing with the transition to 0.5% sulphur content – the “2020 Transitional Fuel Clause”.

    The 2020 Transitional Fuel Clause will be discussed by BIMCO’s Documentary Committee on 13 November.

    “The feedback provided by the Committee will be used to further refine the clause immediately afterwards. Furthermore, the sub-committee will ask the Documentary Committee to fast track the clause with the aim to issue the 2020 Global Marine Fuel Sulphur Content Clause and the 2020 Transitional Fuel Clause together as a package,” says BIMCO’s Head of Contracts and Clauses, Grant Hunter.

    At the core of the 2020 Global Marine Fuel Sulphur Content Clause is an obligation on owners and charterers to comply with the sulphur content requirements of MARPOL Annex VI. Fuels supplied by the charterers have to meet not only the MARPOL Annex VI requirements, but also the specifications and grades set out in the charter party. Importantly, the charterers must also use bunker suppliers and barge operators who will comply with MARPOL requirements throughout the supply chain.

    Owner and charter cooperation is essential
    The 2020 Transitional Fuel Clause recognises that owners and time charterers will have to cooperate in the run up to 1 January 2020 to manage fuel supplies to minimise the amount of non-compliant fuel on board the ship on the coming in to force date. Any non-compliant fuel on board belonging to the charterers after 1 January 2020 will need to be discharged from the ship and disposed of at charterers’ risk, time and cost latest by the 1 March 2020 carriage ban date, or by the redelivery date – whichever comes first. It will be the owners’ responsibility to clean empty fuel tanks to prepare them to receive 0.5% sulphur content fuel.

    The clause emphasises the need for cooperation in planning and preparation to ensure a smooth as possible transition to the new low sulphur fuel.

    A requirement to segregate fuels of different grades is a common provision in most time charter parties. However, there are concerns that new 0.5% sulphur content fuel may have compatibility issues even between stems produced by the same oil company. To minimise the risk of incompatibility between stems of 0.5% sulphur fuel, the clause requires each supply of fuel to be kept separate – even if it is of the same grade and specification.

    Diverse team ensures a broad perspective
    The drafting team met in London on Monday 29 October and were joined by representatives from INTERTANKO.

    “We recognise the importance of trying to work together to produce clauses that both organisations can stand behind. We also believe that a diverse team is very important to ensure a broad perspective on all issues,” says Hunter.

    The team is drawn from a wide spectrum of interests and includes owners, charterers, fuel suppliers, P&I Clubs and lawyers. The team is Peter Eckhardt, F Laeisz, Germany (Chairman); Nicola Ioannou, Ocean Fleet, Greece; Dimitrios Los, Vontrados, Greece; Daniel Chu, Navig8, UK; Ann Shazell, Cargill Ocean Transportation, Switzerland; Rob Crees, World Fuel Services, UK; Tiejha Smyth, NEPIA, UK, Paul Dean/Alessio Sbraga, HFW, UK. INTERTANKO was represented by Michele White, general counsel, and Claire Georgeson, Commercial and Markets Manager. Technical guidance is provided by Lars Robert Pedersen, Deputy Secretary General for maritime technology and regulation at BIMCO.




2019 August 24

14:42 Eastern Shipbuilding delivers the CAPT. JIM McALLISTER with a USCG Sub-M COI to McAllister Towing
13:26 Gulf of Mexico Lease Sale yields more than $159m in high bids, continues Upward Trend Under Trump Administration USDoI
11:38 Grieg Star takes delivery Supramax vessel the Star Damon
10:58 DNV GL launches renewables certification operations in U.S.

2019 August 23

18:36 Bridge parts transported for second Theemsweg route bridge
18:06 CMA CGM announces GRR from Asia to East and South Africa, Indian Ocean
17:55 Onezhsky Shipyard launches TSHD Yury Maslyukov
17:36 First CLEANBU wet-dry cargo switch with significant positive environmental impact
17:20 Atomflot and Baltiysky Zavod sign agreement on construction of fourth and fifth nuclear-powered icebreakers of Project 22220
17:05 CMA CGM announces FAK rates from Asia to the Middle East Gulf
16:45 MPI Resolution started blade repair campaign in offshore wind farm
16:35 PIL’s fleet attains Environmental Ship Index (ESI) certification
16:05 Botlek becomes Vopak's styrene hub
15:44 First-of-a-kind floating nuclear power unit Akademik Lomonosov leaves Murmansk for Pevek
15:23 CMA CGM will not use the Northern Sea Route
15:17 Vessel powered by ABB Azipod® propulsion reaches North Pole for the first time in history
15:13 NOVATEK’s Board recommends 1H 2019 dividend
14:47 PGNiG Group posts more than PLN 22.6bn in revenue for H1 2019
14:16 BC Ferries supports whale research at Galiano Island
13:52 Marsden Point, New Zealand tops BIMCO Terminal Vetting Report
13:29 Missile cruiser Marshal Ustinov entered Mediterranean Sea
13:08 Boskalis half year result 2019 tainted by offshore projects
12:34 Sevastopol Sea Port to be subsidized with RUB 54 million by municipal government
12:08 Bibby HydroMap commences second UXO survey for Vattenfall
11:40 Tests of unique replenishment system of Akademik Pashin tanker successfully completed
11:08 DP World Liège Container Terminal boosts eco-efficiency with Konecranes
10:55 Eesti Energia to use Klaipėda LNG terminal services
10:26 Hamburg, Germany to host 15th Arctic Shipping Summit on 4-5 December 2019
10:07 Bridge parts transported for second Theemsweg route bridge
09:53 Brent Crude futures price is up 0.1% to $55.98, Light Sweet Crude – up 0.01% to $55.35
09:34 Bunker market sees mixed price movements at the port of Saint-Petersburg, Russia (graph)
09:19 Baltic Dry Index is up to 2,118 points
09:07 Damen wins UX Design Award for Human Machine Interface for Tugs
08:35 MABUX: Bunker Market this morning August, 23
08:07 World’s largest all-electric ferry completes its maiden trip

2019 August 22

18:04 Australian Maritime College and KONGSBERG eye potential for VR training with renewed support program
17:39 Nordic Engineering sponsors roundtable meeting “Import Substitution in Russian Shipbuilding: Ambition and Reality”
17:04 DOF Subsea issues Financial Report for 2nd quarter of 2019
16:47 Karelia proposed construction of deep-water freight and passenger port Kem’
16:25 Bunker prices go down at the Far East ports of Russia (graph)
16:04 Navios Acquisition reports results for H1 2019
15:53 PJSC TransContainer reports its Financial Results under IFRS for 6M'2019
15:12 ReCAAP ISC has released Guidance on Abduction of Crew in the Sulu-Celebes Seas and Waters off Eastern Sabah
15:04 Essar Ports expects to meet 60 MT target for FY20
14:31 Höegh LNG announces interim results for the quarter and half year ended 30 June 2019
14:14 Peel Ports takes important step towards being Brexit ready
13:56 Yamal LNG shipped twenty million tons
13:35 Arctic block of Far East Investment and Export Agency headed by Dmitry Fishkin
13:13 Sea Machines successfully deploys industry’s first autonomous spill-response vessel
12:28 Fire onboard MV Pyotr Tchaikovsky kills one in Saint-Petersburg
12:13 Frontera Offshore and DOF Subsea join forces for the Subsea Construction and IMR Mexican market
11:31 Kalmar to enhance STS crane capabilities at EUROGATE Tanger
11:21 HELCOM publishes report on noise sensitivity of animals in the Baltic Sea
10:59 HELCOM gets a new Executive Secretary
10:35 Caterpillar Eurasia and Admiral Makarov University agreed on establishing a brand new up-to-date training center
10:10 Steps towards new treaty to protect marine biodiversity
09:38 Brent Crude futures price is down 0.41% to $60.04, Light Sweet Crude – down 0.38% to $55.47
09:20 Hapag-Lloyd announces changes of North Europe Mediterranean Express Service
09:13 Baltic Dry Index is up to 2,061 points
08:44 MABUX: Bunker market this morning, Aug 22